On Investment Options

People frequently confuse Asset Classes, Vehicles for Investment, and modes of investing , for  example I have heard questions like

"Should I invest in Equity, Mutual Fund, or SIP? " when you can actually do all three at the same time! 

What follows may be elementary to most, but it may need reiteration for some. 

You should  keep the following distinctions in mind: 

Asset Classes: equity, debt, Real Estate, Gold

Investing through ( vehicle for investment) : direct, or through MF

If Gold: physical gold biscuits, ETF's ( which is an MF) ,  Sovereign Gold Bonds

If Real Estate: Direct or through MF 

If Real Estate MF: InVit, or any other

If debt: direct ( bank FD, direct corporate FD, VPF, PPF, any other instrument... Or through MF)

If debt MF: 

Duration of underlying Paper:  short to long

Credit Risk: Zero to High

Quick pointers:

Investing in FD's is usually tax inefficient. For debt , investing through MF's is better

Debt MF's investing in long term paper carry interest rate risk 

Gold Ornaments don't count as investment.

The era of Real Estate as a preferred  Asset Class is over. 

The era of high interest rates are over. 

Low inflation is only on paper. 

You will see your lifestyle costs going up in the next few years, along with drop in real wages. We are going the way of the west, which generally means we are going to get screwed. 

Diversify, but not too much

It is a field that is complex, most times  needlessly so, and  In case you don't wish to spend time understanding it, consult an expert.

Beware of experts in any field. Most of them know very little, and they mostly work to maximise their gain, not yours

Derivatives, Currencies, Futures, Options, Cryptos, Commodities are not investment. Unless you are an expert, stay away. If you are an expert, beware. Many a strong swimmer has been swept away by the current.

The Legal Luminary turns fifty

One is of tennis fame,
One is a software czar,
She shares her birthday,
With a few lesser mortals!

One said he never inhaled,
And he liked to give the suck,
A high position he held,
But he's not a patch on her!

A real luminary,
Who holds her own where she goes,
In a ring full of men,
She's scored many a K.O!

Knockout not just in a fight,
She can kill with her look(s),
Many a  heart took flight,
And went aflutter!

When God made her he said,
She will be one of a kind,
Sent her down and broke the mould,
And here we are, fifty years hence!

We wish her fifty more to come,
Of glorious sunrise years,
For the sun never sets,
Where she is around!

Afghanistan

We are all secure,.
In our sinecures,
And cosseted lifestyles,

We cannot even hope,
To understand,
The desperation,

Of a life uprooted,
By a change of circumstance,

A country taken over,
By forces of chaos,
Thrown back to mediaeval times,

Murder, pillage, rape and loot,
Divine right of warlords,
Going back to ancient times,

We are lucky to have lived,
In our little sinecures,

Counting our wealth and indulging,
In our little pastimes,

We cannot even hope to understand,
How worlds can get uprooted,
By forces beyond our control,

And how the little things we take,
For granted,
Now are so important,

The world was never a safe place,
It is all an illusion,

We spun ourselves into our cocoons,
And fed our delusions,

It's when the fabric tears apart,
That the threads start unraveling,

The tapestry of which we are a part,
Is our place, our time, our good fortune!

Procrastination

Not Done is the best way to be,
Always with something to do,
If all I've to do is complete,
I will feel strangely empty!

Don't ever rush to do things,
For the list is never ending,
Good to have the same thing on your plate,
To satisfy those who are asking!

Subbu of Barings

Long, longer, longest,
Both the name and the quals,
He got his Barings right,
VC in Angel form !

Legendary fellow,
Made millions for people,
And then wisely withdrew,
Before the shit hit the ceiling!

Now he roams around the world,
Weddings and temple tours,
Still has his gentle smile,
As if he wouldn't hurt a fly!